
The Herald reports today that the Scottish Government has dropped its plans for a local income tax which would have replaced the council tax.
John Swinney claimed it was impossible to introduce in the light of the £1bn of Westminster imposed cuts and Holyrood opposition to the plan.
'He said: "We cannot put together a stable majority to enable us successfully to steer detailed local income tax legislation through this parliament.
"Indeed, the parliamentary vote in December last year made clear that there is no consensus in this Parliament on the best way forward for local taxation.
"The Cabinet has therefore decided not to introduce legislation to abolish the unfair council tax and replace it with a local income tax until after the election in 2011."'
Mr Swinney has promised the present council tax freeze will continue for the full 4 year term of this government.
The opposition parties will ridicule the withdrawal of the LIT plan, even though they refused to support it in Holyrood, but I consider it a brave decision to announce it now, particularly midweek. Of course the Westminster government prefers to make such announcements on Friday afternoons to avoid the flack.
Now the SNP can go back to the drawing board and start again, because they know and we know there is a much fairer alternative to the council tax. The Westminster government has done everything in its power to ensure Scotland won't have a fair tax and the final straw to the plan was possibly the Inland Revenue's refusal to collect it.
I'm confident the SNP can produce a tax which is fair to all. Tomorrow's FMQs could be more entertaining than usual!